Solana Hits Big Resistance and Drops to Support
Good Morning Traders,
It's important to review price action on Solana because it is our fourth-largest altcoin (excluding stables) and leads much of our current altcoin market in this position.
The inverse head and shoulders pattern is playing out thus far.
Solana touched my $122 support precisely before bouncing and rounding the bottom of our right shoulder.
The 200-day SMA helped to hold price for support.
The price then exceeded our .618 Fib fan level which intersected with a level I had drawn at $145. This now becomes support.
Price had attempted to move higher but there is great resistance ahead on both our price chart and the RSI chart. Both charts show big areas of confluence that are acting as major resistance. If the bulls can get above these, they can then tackle that neckline. Once broken, we should have a price target of $235-245 before more rest.
Don't forget that holiday weekends often give crypto a big boost. With the 4th of July being a big holiday here in the U.S., I would not be surprised to see price movement float up over the long weekend.
Stew